Flash ReportJD.com and L Catterton Asia Invest in Online Luxury Fashion Retailer Secoo Coresight Research July 19, 2018 Executive Summary China’s largest online retailer JD.com and consumer-focused, private-equity firm L Catterton Asia have invested $175 million in Secoo, the largest online luxury fashion retailer in China. The partnership brings benefits to all three parties. Secoo will leverage L Catterton’s global fashion and retail knowledge and JD.com’s e-commerce expertise to expand into the global luxury market, while JD.com and L Catterton will be able to enhance their position in the luxury market in China. The luxury goods market in China is already large and is forecast to account for 40% of global luxury sales by 2024. In the next three years, millennials in China, who are enjoying a higher standard of life compared to their parents, are expected to become the main consumers of luxury products. Brands can appeal to this growing and important segment by approaching them in a more personal, relatable and engaging way, and even by adding an element of nostalgia, according to some commentators. Please Login to read the full report. Not a member? To access this content for free, register for a free account. This document was generated for
Event CoverageOn-Demand Services, Space Peace, AI and Cybersecurity in the Modern World: Takeaways from Fortune Brainstorm Tech 2018, Part Two Coresight Research July 19, 2018 Executive SummaryThis week, the Coresight Research team attended the Fortune Brainstorm Tech 2018 conference in Aspen, Colorado. Here, we share our takeaways from the second half of the conference. DoorDash and TaskRabbit are thriving by using their on-demand service platforms to provide quick, affordable and widely available food delivery and household task services, respectively, to customers. Cybersecurity and space peace are both essential to the security of companies and governments across the world. The private sector and governments must work together to ensure that infrastructure and assets in space and on Earth are safe from potential attacks. Artificial intelligence (AI) is key to future developments in technology. From self-driving cars to the booking of hotels, AI will revolutionize not just the functionality of products and services, but also the way they are developed. Because the world is constantly evolving, it is vital that the next generation of leaders be lifelong learners. To create a society that can adapt to changes as quickly as technology advances, leaders must continue to learn long after college. Please Login to read the full report. Not a member? To access this content for free, register for a free account. This document was generated for
Insight ReportAmazon Prime Day 2018 Wrap-Up: Amazon Announces Another Record Day but Remains Vague on Revenue Figures Coresight Research July 19, 2018 Executive Summary Amazon announced that Prime Day 2018 was the “biggest shopping event” in the company’s history, surpassing Black Friday, Cyber Monday and previous Prime Day events. The company did not disclose absolute or growth figures for revenues generated during the event, but reported that more than 100 million products were purchased globally and that sales generated from small and medium-sized businesses (SMEs) worldwide on the platform had surpassed $1 billion. According to Amazon, more customers subscribed to Prime membership during the first day of Prime Day 2018 than on any previous day in Amazon history. Generating new Prime membership subscriptions is a major objective of Prime Day. The company reported that Prime Day 2018 was the biggest event ever for its own consumer electronics products such as Fire TV and Echo devices. TVs, smart home products and home security systems were among the best-selling products in the US. Coresight has been covering Amazon Prime Day since it was launched in 2015 and additional reports from can be accessed here. Already a subscriber? Log in You are currently viewing a preview of this report. Please select an access option to view the full report. Hide Options - Show Options + Get unlimited access to all our research with one of our subscription plans. View Subscription Plans or Contact us to purchase this report. Contact us ✕ This document was generated for
Insight ReportWho Is Taking the Vacant Toys“R”Us Stores? Coresight Research July 17, 2018 Executive Summary With June 29 marking its final day in business in its home market, Toys“R”Us has now closed down all of its stores in the US. The impact of the toy retailer’s departure on US retail is significant. We estimate 28.6 million square feet of retail space has been left vacant with the closure of Toys“R”Us, and in terms of the number of stores, this represents 21% of total store closures announced year to date in the US. The vacant Toys“R”Us stores look set to be filled by a diverse array of tenants such as discount stores, health and wellness, specialty grocers, home improvement, furniture, arts and crafts and entertainment. Brands including Dollar General are likely take on parts of vacant stores, since they tend to operate smaller store formats and are unable to fill an average Toys“R”Us store. According to real estate investment firm and owner of several former Toys“R”Us stores Kimco Realty, some of the likely candidates to fill the vacant spaces left behind by the toy retailer include Dollar General, TJ Maxx and Burlington, together with organic grocery retailer Sprouts Farmers Market, foodservice retailers such as KFC and Chipotle and healthcare service provider GoHealth Urgent Care. Already a subscriber? Log in You are currently viewing a preview of this report. Please select an access option to view the full report. Hide Options - Show Options + Get unlimited access to all our research with one of our subscription plans. View Subscription Plans or Contact us to purchase this report. Contact us ✕ This document was generated for
Insight ReportAmazon Kicks Off the First Half Day of 2018 Prime Day in the US and Europe Coresight Research July 17, 2018 Executive Summary Amazon launched its 2018 Prime Day (and a half) at noon local time in the UK and Europe markets and at 3:00 p.m. EDT in the US. As expected, Amazon’s homepage during the European promotional event focused on the promotion of the company’s own consumer electronic products, such as its Echo smart speaker, whose price was reduced by 50%. In the US, Amazon launched extra deals 12 hours early on Amazon electronic devices. The company organized its deals in 40 interest categories, which are available online, via the Amazon App, in Whole Foods Market locations, at Amazon Books and pop-up locations and at its Treasure Trucks. This year, Amazon says that it is offering more than 1 million deals worldwide, compared to 100,000 deals two years ago. When we checked Amazon’s US and UK websites on July 16 and July 17, between 2,000 and 3,000 products on each site were listed as “active or upcoming” deals for Prime Day. Prime members will also be able to take advantage of Lightning Deals in addition to 140 curated Spotlight Deals. Coresight has been covering Amazon Prime Day since it was launched in 2015 and additional reports from can be accessed here. Already a subscriber? Log in You are currently viewing a preview of this report. Please select an access option to view the full report. Hide Options - Show Options + Get unlimited access to all our research with one of our subscription plans. View Subscription Plans or Contact us to purchase this report. Contact us ✕ This document was generated for
Flash ReportNordstrom Investor Day 2018: Company Plans to Grow Revenues 20% by 2022; Strategic Brands to Account for 50% of Growth Coresight Research July 16, 2018 Executive SummaryOn July 10, Nordstrom hosted an Investor Day in Los Angeles, California, its largest market. The company provided an overview of its digital strategy, financial targets and an aspiration to be the best fashion retailer in the world. The company reiterated its fiscal year 2019 guidance and outlined a five-year plan to grow revenues 20% to $18 million by 2022 from $15 billion in 2017. Nordstrom’s store portfolio includes 373 stores, consisting of 122 full-line stores, 239 Nordstrom Rack Stores and 12 “other” stores. The company reported that 100% of the stores are cash-flow positive, and there are no plans to close any of the stores. The company is positioning itself as a retailer of newness and brand assortment. By 2022, Nordstrom plans to grow its portfolio of strategic brands to 50% of full-price sales from 40% of full-price sales currently. Please Login to read the full report. Not a member? To access this content for free, register for a free account. This document was generated for
Insight ReportJune 2018 US Same-Store Sales Coresight Research July 16, 2018 Executive SummaryCoresight Research’s monthly reports keep you up to date on US and UK retail sales, US retail traffic and in-store metrics, selected US retailers’ same-store sales and key global consumer indicators. Click here to view our full collection of Monthly Reports. Our monthly US Same-Store Sales Report reviews comparable sales metrics reported by Costco, Buckle and Cato. Highlights from our June US Same-Store Sales report: Costco’s same-store sales growth accelerated in June versus the same period last year. Buckle, Cato and L Brands all reported comp improvement year over year. Costco reported that comps increased by 9.7% year over year in June versus the 6.9% consensus estimate. Hardlines were up by low double digits year over year, with the majors, garden and tires departments among the better performers. L Brands’ comps were up 3.0% in June. Victoria’s Secret’s comps were down 1% and Bath & Body Works’ comps were up 10%. Already a subscriber? Log in You are currently viewing a preview of this report. Please select an access option to view the full report. Hide Options - Show Options + Get unlimited access to all our research with one of our subscription plans. View Subscription Plans or Contact us to purchase this report. Contact us ✕ This document was generated for
Flash ReportChina Tech Briefings: Alibaba Invests in Turkish Online Fashion Site Trendyol Coresight Research July 16, 2018 Executive Summary Alibaba has announced an investment in Turkey’s leading online fashion shopping site, Trendyol. According to Alibaba, it is the largest transaction in Turkey’s Internet sector to date. The partnership brings benefits to both parties. Alibaba’s strengths in technology, e-commerce, mobile payments and logistics will help Trendyol, the largest and fastest-growing e-commerce player in Turkey, to grow, while Trendyol will help Alibaba to advance its globalization positioning in the Eurasia region. This latest foray into online fashion retailing follows a series of e-commerce investments that Alibaba made in India. We believe the company is likely to continue its expansion in the Eurasia region. This strategic partnership follows China’s One Belt-One Road (OBOR) initiative: to expand global trade for small and medium-sized enterprises (SMEs). Please Login to read the full report. Not a member? To access this content for free, register for a free account. This document was generated for
Store TrackerWeekly Store Openings and Closures Tracker 2018, Week 28: Fabletics Plans 75 New Stores Coresight Research July 13, 2018 Executive SummaryCoresight Research tracks store closures, openings and bankruptcies for a select group of retailers in the US and the UK. Our Weekly Store Tracker focuses on department stores and specialty retail stores, including, but not limited to, those selling softlines, hardlines, consumer electronics, groceries and furniture. Click here to view our full collection of Weekly US and UK Store Trackers. Highlights from this week’s Store Tracker: Year-to-date 2018, the number of US store closure announcements stands at 4,204 and the number of store openings is 2,153. The Fresh Market announced it will close 15 stores. Bed Bath & Beyond plans to close about 40 stores and open 20 new stores. Fabletics will open around 75 new stores across the US and overseas. Year to date in the UK, there have been 999 store closure announcements and 632 store opening announcements. Poundworld will close 25 stores in the UK by July 15. Mothercare plans to shut 10 more stores. Already a subscriber? Log in You are currently viewing a preview of this report. Please select an access option to view the full report. Hide Options - Show Options + Get unlimited access to all our research with one of our subscription plans. View Subscription Plans or Contact us to purchase this report. Contact us ✕ This document was generated for
Insight ReportTotal US Back-to-School and Back-to-College Spending Forecast to Decline Slightly this Year Coresight Research July 13, 2018 Executive Summary Total back-to-school and back-to-college spending is expected to decline by 1% to $82.8 billion, from $83.6 billion last year, according to a survey released by the National Retail Federation (NRF) and Prosper Insights & Analytics. On the other hand, back-to-college spending is expected to increase by 2% to a record $55.3 billion, according to the survey. Back-to-school shoppers plan to spend $684.79 per family, slightly below last year’s figure, and the top-three categories are clothing ($236.90), electronics such as computers, calculators or phones ($187.10) and shoes ($138.66). Already a subscriber? Log in You are currently viewing a preview of this report. Please select an access option to view the full report. Hide Options - Show Options + Get unlimited access to all our research with one of our subscription plans. View Subscription Plans or Contact us to purchase this report. Contact us ✕ This document was generated for
Company Earnings UpdateASOS (LSE: ASC) 3Q18 Update: Steady Growth in Sales with the UK Leading the Way Coresight Research July 13, 2018 Executive Summary ASOS reported 3Q18 group revenue growth of 22% to £823.9 million in the four months ended June 30, 2018. Retail gross margin expanded by 130 basis points during the quarter. The company maintained the guidance provided at the 1H18 results update: for full-year revenue growth in the range of 25%–30%, adding that it is likely to be toward the lower end, and an EBIT margin of 4%. Please Login to read the full report. Not a member? To access this content for free, register for a free account. This document was generated for
Analyst CornerWeinswig’s Weekly July 13, 2018 Coresight Research July 13, 2018 Executive Summary This week’s note “From the Desk of Deborah Weinswig” discusses the current state of UK retail, which has seen a steady stream of store closure announcements despite growing consumer demand. Walmart is planning to open a fulfillment center in the Bronx to test same-day grocery delivery in New York City for Jet.com, which it acquired roughly two years ago. European department store chains Galeria Kaufhof and Karstadt are likely to form a joint venture. Kaufhof owner Hudson’s Bay Company confirmed that it is in talks with Karstadt’s parent company, Signa. Alibaba’s Tmall B2C marketplace and trade show organizer Eurovet have teamed up to help industry players sell lingerie, swimwear and activewear in China. Please Login to read the full report. Not a member? To access this content for free, register for a free account. This document was generated for
Insight ReportChinese Cross-Border Retail Heads Offline with New Brick-and-Mortar Formats Coresight Research July 12, 2018 Executive Summary As e-commerce in China becomes increasingly crowded, brands and retailers are looking for alternative ways to connect with their end customers. Now, the emergence of cross-border e-commerce (CBEC) has enabled Chinese consumers to purchase foreign products in China with greater ease than ever before. CBEC has given consumers in China a legitimate avenue through which to purchase products directly from overseas retailers at affordable prices, whereas in the past, they would have had to purchase through friends or family based overseas, or from daigou, agents who act as middlemen purchasing the products overseas on their behalf. However, one issue with CBEC is that all products imported via cross-border e-commerce are regarded by China customs authorities as personal goods, and as such, authentication of the consumer’s identity is required. CBEC as we know it has evolved. The first brick-and-mortar CBEC store appeared in 2015—these stores were known as offline-to-online (O2O) experience stores. The next version of the offline brick-and-mortar CBEC store was one where consumers could view products and goods in person and have the goods shipped to their homes at a later time. Now, at the latest version of the offline CBEC store, consumers can view, purchase and take home the latest imported goods on the spot. Demand from consumers who shop predominantly offline will always exist. For retailers that want to expand offline, the CBEC model-powered virtual free trade zone (VFTZ) could be a potential route to selling offline. However, the VFTZ model is still in the testing phase and there are not many cross-border retail stores located in major commercial areas to satisfy consumer demand for more convenient access. Already a subscriber? Log in You are currently viewing a preview of this report. Please select an access option to view the full report. Hide Options - Show Options + Get unlimited access to all our research with one of our subscription plans. View Subscription Plans or Contact us to purchase this report. Contact us ✕ This document was generated for
Flash ReportWalmart’s Jet.com to Open E-Commerce Fulfillment Center in New York City Coresight Research July 11, 2018 Executive Summary Walmart-owned Jet.com is planning to lease a fulfillment center in the Bronx borough of New York City. The new warehouse will enable Jet to offer same-day delivery of groceries and selected merchandise and to significantly reduce its current delivery time of two days. Jet’s new fulfillment center will be in the right market to appeal to its core consumer base of higher-income urban millennials. Jet will face significant competition from entrenched same-day delivery services such as Amazon Prime Now and FreshDirect. Please Login to read the full report. Not a member? To access this content for free, register for a free account. This document was generated for
Insight ReportChina Tech Briefings: Ling Shou Tong—Alibaba Leverages Independent Convenience Stores to Gain a Competitive Advantage in New Retail Coresight Research July 11, 2018 Executive Summary Ling Shou Tong is a partnership program between Internet giant Alibaba, the owner of Tmall, and independent, family-run convenience stores (c-stores) in China. It aims to modernize c-stores by enabling them to incorporate technology for analytics and operational improvement. Participating c-store managers process their inventory orders through a dedicated Ling Shou Tong app. They also receive purchase recommendations and are able to offer additional services such as mobile pop-ups to shoppers. The stores that perform well can rebrand themselves as “Tmall Corner Stores.” Ling Shou Tong is an integral part of Alibaba’s “New Retail” strategy, which aims to integrate online and offline retailing through digitalization. Through the program, Alibaba leverages a vast network of c-stores in China to expand its offline reach, enhance its knowledge of local markets and strengthen its distribution business, last-mile delivery capabilities and brand recognition. Already a subscriber? Log in You are currently viewing a preview of this report. Please select an access option to view the full report. Hide Options - Show Options + Get unlimited access to all our research with one of our subscription plans. View Subscription Plans or Contact us to purchase this report. Contact us ✕ This document was generated for
